America West FlightFund (Discontinued Program) - HP eyeing Charlotte in potential wake of US Airways?

From today's Arizona Republic:

Rumors are flying

With US Airways on life support, is America West Airlines laying the groundwork for a move into Charlotte, N.C? The tempe airline has joined the Charlotte Chamber of Commerce.

The perplexing move was discovered by an eagle-eyed participant on the America West message board on Yahoo.com, who said in a Wednesday posting that he came across it while searching for something else on the chamber's web site. America West spokeswoman Janice Monahan wondered if it was a case of mistaken identity, but chamber spokeswoman Stacey Ellis confirmed the airline joined Aug. 5.

Charlotte Aviation Director Jerry Orr said the airport has not had talks with America West, but he, too, got wind of the chamber membership Wednesday. "I thought, hmmm..." he said.

Is that reported by the Republic? I can't find any mention of that in the online print edition.

However, it's repeated word for word here(scroll down).

http://www.justplanenews.com/

I wonder what, if anything, will come of this.

Is that reported by the Republic? I can't find any mention of that in the online print edition. . .

I couldn't find it in the on-line edition, either. So I had to type it myself! :(

But it really was there! :)

The story is indeed in the Republic:

http://www.azcentral.com/arizonarepublic/business/articles/0826buzz-bizbuzz26.html

I think this is a smart move by HP. CLT could feasible be an eastern "mini-hub" for the airline -- not a full-fledged base of operations, but at least a connecting point for destinations all along the eastern seaboard.

Is it typical an airline joins a local Chamber of Commerce? Perhaps America West just sees this as a possibility to increase connecting traffic through Phoenix and Las Vegas? Also, isn't Bank of America's offical HQ now in Charlotte, yet many of its operations still in SFO? With that, it is possible a few non-stops from SFo to Charlotte could be the item...or who knows?! I doubt seriously that HP would want to formally absorb USAirways operations....the whole labor situation with USAirways is bad and America West may just be asking for trouble if tried to absorb something whole...generally any merger type would bring in all sort of labor/pension/cost issues....can't just rob the assets and the employees without the liabilities as well....unless, another BK filing that could deal with some of that....OR, perhaps USAirways might look to sell part of its operations to focus on say, Philadelphia?!? Who knows, could get interesting...

. . . I doubt seriously that HP would want to formally absorb USAirways operations....the whole labor situation with USAirways is bad and America West may just be asking for trouble if tried to absorb something whole. . .

I would be stunned if that were to happen. I think more likely, they'd look to position themselves with more flights there if US were to go under. Or, depending upon average fares and loads out of Charlotte, perhaps, position themselves there even if they don't -- like Southwest is doing to US in PA. Another nail in the coffin sort of strategy.

Whatever the case, it would certainly be sweet if HP were to do an Eastern hub out of that part of the country. It would make using them in the East a much better option.

Is it typical an airline joins a local Chamber of Commerce?

Looking at the Chamber of Commerce pages of LAS, LAX, ORD, JFK, etc. , it's quite common. United is a member of just about every CoC. It's strange that HP is a member of PHX, LAS, and now CLT, but hasn't joined in LAX where they're creating a mini hub.


Perhaps America West just sees this as a possibility to increase connecting traffic through Phoenix and Las Vegas? Also, isn't Bank of America's offical HQ now in Charlotte, yet many of its operations still in SFO? With that, it is possible a few non-stops from SFo to Charlotte could be the item...or who knows?!


As I'm in the bay area frequently, it's odd that I didn't think of that. Yes, HP could be looking to provide service to SFO/hubs, however, it would seem odd to announce SFO-CLT when SFO transcons have done so poorly. But who knows?!


I doubt seriously that HP would want to formally absorb USAirways operations....the whole labor situation with USAirways is bad and America West may just be asking for trouble if tried to absorb something whole...generally any merger type would bring in all sort of labor/pension/cost issues....can't just rob the assets and the employees without the liabilities as well....unless, another BK filing that could deal with some of that....OR, perhaps USAirways might look to sell part of its operations to focus on say, Philadelphia?!? Who knows, could get interesting...

I don't think we'll see a US/HP merger. Any significant actions HP takes in CLT will be as a result of US' closure. HP will most likely be attending US BK autions bidding on aircraft, gates, routes, facilities, etc.

US' fleet contains quite a few A320/319's(118) and 757's(31). The 757's are RR powered, however the Airbuses are CFM versus HP's IAE. I see an opportunity for a significant fleet increase. I would say HP's fleet is currently short by about 20 planes.

Also since Mesa provides regional service for both US and HP, we may see some US express planes repainted in HP colors.

HP would be very smart to start CLT service. CLT needs a LCC in that market. Currently, ATA has service from MDW, but ATA is having their own cash flow problems. If HP does start service to CLT, I can pretty much predict in will probably have 2x flights daily from PHX and 1x daily from LAS. The schedule would be a almost duplicate to what HP has for RDU. Do not expect transcoons from LAX or SFO as their is not enough local traffic in CLT to support that (USair depends on Conx traffic to help feed CLT). Since CLT is sandwiched between ATL and RDU, they will get passengers from western N.C and South Carolina to help support CLT from HP hubs.

Also, isn't Bank of America's offical HQ now in Charlotte, yet many of its operations still in SFO? With that, it is possible a few non-stops from SFo to Charlotte could be the item...or who knows?! I doubt seriously that HP would want to formally absorb USAirways operations....the whole labor situation with USAirways is bad and America West may just be asking for trouble if tried to absorb something whole...generally any merger type would bring in all sort of labor/pension/cost issues....can't just rob the assets and the employees without the liabilities as well....unless, another BK filing that could deal with some of that....OR, perhaps USAirways might look to sell part of its operations to focus on say, Philadelphia?!? Who knows, could get interesting...


http://reuters.com/newsArticle.jhtml?type=topNews&storyID=6141442

Let's not get too excited. Another BK filing still is possible, but Ch. 7 is not imminent. Lakefield has said that there is a 50/50 chance that US could survive another BK filing. IMO, I think the unions will give in.

Servicewise, US already has between 5-8 X daily nonstop service from CLT to LAX, PHX, and LAS, many flights operated with their A321, which hold 169. I think US's flights are all that this market can support, and even if HP introduced service with low fares, US would likely match them and/or market them as a "GoFares" route. US has already ruled out the sale of assets, and made it clear that they would rather liquidate than sell routes and dwindle away.

Jeffeywol is right- there isn't as much O/D traffic in CLT as there is in, say PHX or LAS. US relies on the large amount of connecting traffic they feed there, and fact that CLT flyers literally have no other choice ;)

Hopefully, HP will examine this very closely. They don't need another CMH -- worked hard but never could make it successful -- even with the support of the business community.